City Council hearing of 4/19/2016 on Valero Appeal of Planning Commission denial of Valero Crude By Rail. Excerpt begins with questioning of Union Pacific representative Francisco Castillo at minute 11:40.
Category Archives: Union Pacific Railroad
Berkeley report finds overwhelming opposition to project that would bring crude-by-rail through Bay Area cities
Repost from the Contra Costa Times
Report finds overwhelming opposition to project that would bring crude-by-rail through Bay Area cities
By Tom Lochner, 03/04/2016 04:44:34 AM PST
BERKELEY — A crude-by-rail project in Central California that could bring up to five trains a week through Berkeley and other East Bay shoreline cities has garnered overwhelming opposition among local politicians and the public, an observer for the city reports.
Ray Yep, a member of the Public Works Commission working with Councilwoman Linda Maio, represented Berkeley at hearings before the San Luis Obispo County Planning Commission last month on the Phillips 66 Rail Spur Project. The proposal calls for bringing out-of-state crude oil, likely the tar sands variety, to the Phillips 66 Santa Maria refinery via 80-car trains, via a 1.3-mile spur that would connect the refinery with the Union Pacific mainline.
Possible access routes to the refinery from outside the area would be from the south via the Los Angeles Basin, and from the north via the East Bay and South Bay along Amtrak’s Capitol Corridor tracks.
As early as 2014, the Berkeley and Richmond city councils voted to oppose the transport of crude oil through the East Bay.
Hearings were held Feb. 4 and 5, with at least one more hearing before the planning commission votes on the project. The next hearing is 9 a.m. March 11.
At the Feb. 4 hearing, the county staff gave a presentation, ending with a recommendation to deny the project. A county attorney followed with a discussion of federal pre-emption, characterizing it as a “gray area,” according to the Berkeley report.
Phillips 66 has challenged the county’s standing to evaluate Union Pacific mainline issues — including possible effects on the communities it traverses. In an ensuing presentation, the company held that mainline issues fall under federal regulations, the Berkeley report noted.
Phillips 66 said the rail spur project is needed because of declining of oil production in California, and that it would keep the refinery in operation and provide local jobs and taxes, according to the Berkeley report. The company declared willingness to reduce the volume of trains to three per week, which critics have derided as a tactic to facilitate approval without addressing the danger of fire, explosion and pollution.
Without approval of the rail spur project, 100 trucks would transport crude oil daily from Kern County to the Santa Maria refinery, according to the report.
About 300 people submitted speaker cards at the Feb. 4 hearing and 69 spoke that day, from as far away as Crockett, Davis and Sacramento, according to the Berkeley report. Some 430 speaker cards were submitted at the Feb. 5 hearing.
The report noted that 17 elected officials spoke, all but one against the project.
Maio is expected to present the report to the City Council on Tuesday. It is available online at bit.ly/1QsQL6w.
KQED NEWS: Oil Trains Face Tough Haul in California
Repost from KQED News – The California Report
Oil Trains Face Tough Haul in California
By Julie Small, February 6, 2016
A statewide conflict over whether to allow more trains carrying crude oil into California is coming to a head in communities hundreds of miles apart.
The Central Coast town of San Luis Obispo and the Bay Area city of Benicia are poised to make decisions in the coming days that would have broad implications for the future of this type of import.
Longtime San Luis Obispo resident Heidi Harmon hopes to stop trains from hauling crude through her town, citing what she calls an “elevated risk of derailment.”
Oil trains would likely have to cross a 19th century bridge just a mile from the city’s thriving downtown.
“You can see the antiquated style with which this was put together” says Harmon, gesturing to rail tracks perched on top of the trestle’s steel rods.
She describes Stenner Creek Trestle as “stunning to look at but terrifying to consider a mile-and-a-half-long oil train coming over.”
Trains hauling up to 80 tanker cars could cross the trestle bridge multiple times a week if Phillips 66 gets wins approval for a plan to build a rail spur at its nearby refinery.
The company has applied for a permit to connect its Santa Maria refinery to the nearby Union Pacific line.
A steady decline in California oil production has compelled Phillips 66 to look for ways to bring in crude from other states. The company’s landlocked refinery in Santa Maria has no pipeline connection to do that — and no nearby port terminal.
The San Luis Obispo Planning Commission held hearings that began Thursday on whether to allow the rail spur project. County staff has advised against it, saying it poses too great a risk to public health and safety.
Harmon and hundreds of other opponents packed the meeting.
“We have an opportunity in San Luis Obispo to say we do not want this train” said Harmon. “We do not want the dangers — the air pollution hazards and the increased cancer risks — we do not want this in our community.”
A series of accidents, including the 2013 Lac-Mégantic rail disaster that killed 47 people in Quebec, have fueled fears and community opposition.
Phillips 66 officials declined an interview for this story but said in an email the company uses “one of the most modern railcar fleets in the industry.”
Over 100 government agencies and school boards, including many from the San Francisco Bay Area, also oppose the rail spur in San Luis Obispo.
A similar project at the Valero refinery in Benicia also faces strong opposition.
Valero also wants to connect its operations to Union Pacific.
Benicia’s planning commission has set a public hearing on that crude-by-rail project Monday. Staff there is recommending approval.
Political leadership is divided, but many residents are opposed. Some of those municipal governments of nearby cities want more safeguards included in the project. To get to Benicia, the crude would first pass through communities far north, including Auburn, Sacramento and the university town of Davis.
“The rail line passes through the heart of our downtown and has a few geographic elements to it that raise concerns when oil trains are going through it,” said Mike Webb, city planner for Davis.
“We are not trying to stop the project,” Webb emphasized. “Our primary mission is to ensure that, to the extent that these trains and these materials are going through our communities, let’s make it as safe as it can possibly be.”
Davis officials and the Sacramento Area Council of Governments (SACOG) are pushing for a commitment from Valero and UP to use technology that automatically slows trains in densely populated areas.
“Public safety and first responder advance notification is of paramount concern,” said Yolo County Supervisor Don Saylor, a former council chair.
Officials also want a commitment to provide more training and funding for first responders in communities along the route and for emergency crews to get warned before an oil train comes down the line.
Chris Howe, a manager for Valero, testified at a public hearing last year on the Benicia oil-by-rail project that the company is committed to strong safety standards and modern technology.
“We have from the start planned to utilize in our project upgraded railcars.” Howe said.
Valero is also working with an experienced railroad.
“We expect UP railroad — which is the prime railroad that we’ll be utilizing to move those trains — to do so safely,” Howe said. “Many of the incidents that have happened have occurred on much smaller, less well maintained railroads.”
Union Pacific says it has made changes to reduce the risk of hauling crude: implementing slower speeds in high-population areas and creating analytical tools to find the safest routes.
The two projects under consideration are among a handful of crude-by-rail projects proposed in recent years to take advantage of inexpensive crude from North Dakota, Canada and Texas.
But the recent plunge in oil prices has made hauling it by train more expensive, causing some of those plans to unravel.
“The rail economics have changed the calculus for some companies” said Gordon Schremp, a senior fuel analyst with the California Energy Commission.
Last year WesPac abandoned a plan to build a rail terminal in the Bay Area town of Pittsburg, citing a lack of investors for the project. Alon USA has yet to act on a permit the company acquired in 2012 to build a crude-by-rail terminal at an idle refinery in Bakersfield.
According to Schremp, even at the peak of industry interest rail imports comprised just 1 percent of California’s oil imports. By the end of 2015, those imports plummeted to one-tenth of 1 percent.
“Crude-by-rail was never a very important source supply,” said Schremp, “because we did not have the facilities constructed.”
AUBURN CALIFORNIA: No to proposal that would bring oil through Auburn
Repost from the Auburn Journal
Another View: No to proposal that would bring oil through Auburn
By: Rosalie Wohlfromm / Guest Columnist
Do you remember back in 2013, when there was a train derailment carrying crude oil in Lac-Megantic, Quebec? That incident resulted in a fiery explosion and caused the death of 47 people.
It has been reported that crude oil from North Dakota and Canada into California would be expected to rise from just 1 percent of total oil imports in 2013 to 25 percent by 2016, according to state energy officials.
This oil would travel by rail through densely populated areas to refineries on the coast. One of these routes is right through our town of Auburn. We could see trains pulling 100 oil tanker cars going past our homes, schools and parks.
Since 2013, we have heard of numerous derailments causing evacuations of citizens from their homes. One of the latest was last February in Lynchburg, Virginia. It is now known that the cause of the derailment was a broken rail, which was missed in two previous inspections.
Oil giant Valero wants to build a massive terminal for oil trains at its Benicia refinery. Union Pacific runs from Reno via Donner Pass, a dangerous route that, according to the Environmental Impact Report for Valero Crude by Rail Project, has only 3.5 percent of Class 4 or 5 track, the quality deemed by the U.S. Dept of Transportation necessary to support daily travel of extremely heavy unit trains made up of over 100 tank cars loaded with crude oil.
The City of Benicia is currently in the process of approving or rejecting the Valero Refinery’s proposed CBR project, which would permit Union Pacific to haul crude oil through Auburn. If this project is approved, Auburn could see oil trains loaded with highly flammable oil from North Dakota running right through our town on their way to Benicia. I ask you to remember what happened in Lynchburg. That could happen here.
Concerned citizens of Benicia are asking for those of us along the rail lines to call or write the City of Benicia City Manager, Brad Kilger, 250 E.L. Street, Benicia CA 94510 or e-mail Planner Amy Million at amillion@ci.benicia.ca.us. Please submit your comments by 5pm on Oct. 30.
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